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Guide to tax offsets

 
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Superannuation

There are two superannuation-related tax offsets:

Australian superannuation income stream tax offset

If you receive income from an Australian superannuation income stream, you may be entitled to a tax offset equal to:

  • 15% of the taxed element, or
  • 10% of the untaxed element.

The tax offset amount available to you will be shown on your PAYG payment summary - superannuation income stream which you will receive from the payer.

You are not entitled to a tax offset for the taxed element of any superannuation income stream you received before you turned 55 years old unless the superannuation income stream was either a:

  • disability superannuation benefit
  • death benefit income stream.

You are not entitled to a tax offset for the untaxed element of any superannuation income stream received before you turned 60 years old unless:

  • the superannuation income stream is a death benefit income stream, and
  • the deceased died after they turned 60 years old.

Contact your payer if you:

  • did not receive a payment summary or you lost your payment summary
  • think you qualify for this tax offset and the payment summary does not show it
  • disagree with the amount shown on your payment summary.

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For more information on eligibility and how to calculate the offset, see T4 - Australian superannuation income stream.

Tax offset for superannuation contributions on behalf of your spouse

If you made contributions to a complying superannuation fund or a retirement savings account (RSA) on behalf of your spouse (married or de facto) who is earning a low income or not working, you may be able to claim a tax offset.

You will be entitled to a tax offset of up to $540 per year if:

  • the sum of your spouse's assessable income, total reportable fringe benefits amounts and reportable employer superannuation contributions was less than $13,800
  • the contributions were not deductible to you
  • the contributions were made to a superannuation fund that was a complying superannuation fund for the income year in which you made the contribution
  • both you and your spouse were Australian residents when the contributions were made, and
  • when making the contributions you and your spouse were not living separately and apart on a permanent basis.

The tax offset for eligible spouse contributions cannot be claimed for superannuation contributions that you made to your own fund, then split to your spouse. That is called a roll over or transfer, not a contribution.

Retirement savings account (RSA)

An RSA is a special account offered by banks, building societies, credit unions, life insurance companies and prescribed financial institutions. It is used for retirement savings and is similar to a superannuation fund.

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Tax offsets - home

Last Modified: Friday, 29 June 2012

 
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